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THINK THAT THIS COULD BEST BE DONE IN HONG KONG IN ADVANCE OF THE SECRETARY OF STATE'S VISIT.
3.
WE SHALL NEED TO REFLECT WITH YOU ON HOW TO EXPRESS WHAT WE WANT TO SECURE OUT OF THE NEGOTIATIONS (IE, YOUR PARAGRAPH 9). I KNOW THAT YOU FEEL THAT THERE IS MORE THAN ENOUGH TO WIN ON THE AIRPORT AND ITS FINANCING ALONE. BUT MINISTERS WANT TO CONSIDER THIS MORE CAREFULLY. THE SECRETARY OF STATE NATURALLY
WANTS YOU TO SORT OUT A SENSIBLE DEAL, BEFORE HIS VISIT TO PEKING IF POSSIBLE. BUT HE IS CONSCIOUS OF THE FACT THAT THE CHINESE MAY WELL WANT TO STRIKE THE DEAL WITH HMG. HE RECOGNISES THAT IT WOULD NOT BE APPROPRIATE FOR HIM TO BE DRAWN INTO DETAILED FINANCIAL DISCUSSIONS ABOUT HONG KONG'S FISCAL RESERVES DURING HIS OWN VISIT TO PEKING. INDEED, HE THOUGHT THAT IT WOULD BE WRONG FOR HIM TO HAVE ANYONE FROM HONG KONG WITH HIM IN PEKING FOR VERY MUCH THIS REASON. BUT HE SEEMS RECONCILED TO THE POSSIBILITY THAT HE MAY HAVE TO SORT OUT THE MAIN OUTLINES OF A DEAL IN PEKING, LEAVING THE DETAILED NEGOTIATIONS TO BE COMPLETED SUBSEQUENTLY BY YOU.
4.
I SHOULD ADD THAT, AS YOU KNOW, THE PRIME MINISTER WILL BE HOLDING A SMALL SEMINAR WITH THE SECRETARY OF STATE AND SENIOR OFFICIALS TO DISCUSS POLICY TOWARDS HONG KONG AND CHINA ON THE AFTERNOON OF THURSDAY, 14 MARCH. MINISTERS THINK THAT IT WOULD NOT BE RIGHT FOR THEM TO COMMIT THEMSELVES TO SUCH A MAJOR POLICY INITIATIVE BEFORE THEN.
5. I FEAR THAT, IN PRACTICE, THIS PROBABLY MEANS THAT A MESSAGE TO LU PING MAY NOT BE ABLE TO ISSUE BEFORE HE LEAVES HONG KONG. BUT IF YOU ARE PREPARED TO AMEND YOUR DRAFT TO MEET THE ABOVE POINTS, THEN WE WOULD TRY TO GET MINISTERIAL AGREEMENT FOR IT TO ISSUE PRESUMABLY THROUGH PEKING BEFORE THE END OF
THIS WEEK.
HURD
W
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